[Graphic News] Half of new businesses go bankrupt within 2 years

By Korea Herald
  • Published : Feb 22, 2017 - 18:10
  • Updated : Feb 22, 2017 - 18:10

Some 800,000 small businesses open shop annually, but about half of them go bankrupt within two years, statistics showed Monday.

A report said that among businesses that started in 2013, 62.4 percent were still in operation a year later. The rate fell to 47.5 percent after two, and further dipped to 38.8 percent in three years.

Lodging and restaurant businesses were among the quickest to shut down, only about one-third of them still being in place three years later. The rate isn‘t much better for wholesale and retail shops (35 percent), while manufacturing (49.8 percent) and transport (51 percent) were relatively better.